Today a report by Matthew Tempest of The Guardian indicated that the Conservative Party may be looking at overturning the 3% tax increase for small businesses.

Shadow Chancellor George Osborne has stated that he has been "looking very closely" at the tax increase, but as yet has made no clear statement about reducing the rate from 22% back to the previous level of 19%.

Mr Osborne also stated that he would simplify the VAT system, which he described as having "Byzantine intricacies”, and promised a "new pact with Britain's small businesses".

The Labour Party responded by stating that Mr Osborne was attempting to satisfy the right wing members of his party with "a wish list of tax cuts", and that he did not have a method of financing them.

Whether the Shadow Chancellor does in fact reduce corporation tax or not, one thing is clear – the Conservative Party are taking a great interest in winning the small business vote.